3RD QUARTER, SY2022 – 2023 GED 102-1 WEEK 5

Task List

Week 5 lessons focus on the concepts and applications of mathematical

statistics. It highlights modeling of quantitative data using the least square method to
identify the best fit model. Correlation and regression analysis are discussed along with
relevant applications in the engineering practice.

Keep track of your progress in this lesson by checking the number corresponding to
each task.
_____ 1. Read/Watch Module 2 Introduction

_____ 2. Read/Watch Module 2 Lessons 1

_____ 3. Read/Watch Module 2 Lessons 2

_____ 4. Accomplish Week 5 Homework/Exercise.

_____ 4. Submit WGN Week 5.

3RD QUARTER, SY2022 – 2023 GED 102-1 WEEK 5

Lesson 1. SIMPLE LINEAR REGRESSION

Highlights

1. What is correlation analysis?

 Correlation analysis is a statistical technique used to measure the strength and

direction of the relationship between two or more variables. It helps to determine
whether and to what extent changes in one variable are associated with changes in
another variable. Correlation analysis provides a numerical measure called the
correlation coefficient, which quantifies the degree of association between variables.

2. What does it mean when the correlation value is highly positive?

 When the correlation value is highly positive, it means that there is a strong positive
association or relationship between the variables being analyzed. A highly positive
correlation indicates that as one variable increases, the other variable tends to
increase as well. In other words, there is a consistent pattern of both variables
moving in the same direction.

3. What does it mean when the correlation value is highly negative?

 A highly negative correlation value implies that the variables are inversely related,
and changes in one variable are likely to be accompanied by proportional changes
in the opposite direction in the other variable. This negative relationship can be
visualized as a downward trend in a scatter plot, where the points tend to cluster
around a descending line.

4. What does it mean when the correlation value is zero?

 When the correlation value is zero, it means that there is no linear association or
relationship between the variables being analyzed. A correlation value of zero
suggests that changes in one variable do not have a consistent or predictable
relationship with changes in the other variable. The correlation coefficient, denoted
as "r," ranges from -1 to +1. A correlation value of zero indicates no correlation. In
other words, there is no apparent pattern or trend in the relationship between the
variables.
3RD QUARTER, SY2022 – 2023 GED 102-1 WEEK 5

5. What is regression analysis?

 Regression analysis is a statistical method used to model and analyze the
relationship between a dependent variable and one or more independent variables.
It helps to understand how changes in the independent variables are associated
with changes in the dependent variable and to make predictions or estimations
based on the observed data. In regression analysis, the dependent variable is the
variable of interest, and the independent variables are the factors that may influence
or explain the variation in the dependent variable. The goal is to find a mathematical
equation or model that best represents the relationship between the variables.

Lesson 2. MULTIPLE LINEAR REGRESSION

and other NONLINEAR REGRESSION METHODS

Highlights

1. What is the difference between a simple and multiple linear regression?

Simple Linear Regression:
 In simple linear regression, there is a single independent variable used to predict
the dependent variable. The relationship between the independent variable (X) and
the dependent variable (Y) is modeled using a straight line equation:
 Y = β₀ + β₁X
 Here, β₀ represents the intercept (the value of Y when X is zero) and β₁ represents
the slope (the change in Y for a one-unit change in X). The goal of simple linear
regression is to estimate the values of β₀ and β₁ to best fit the data points.
Multiple Linear Regression:
 In multiple linear regression, there are two or more independent variables used to
predict the dependent variable. The relationship between the independent variables
(X₁, X₂, ..., Xₚ ) and the dependent variable (Y) is modeled using a linear equation:
 Y = β₀ + β₁X₁ + β₂X₂ + ... + βₚ Xₚ
 Here, β₀ represents the intercept, β₁, β₂, ..., βₚ represent the slopes or coefficients
associated with each independent variable, and X₁, X₂, ..., Xₚ represent the values
of the independent variables.
3RD QUARTER, SY2022 – 2023 GED 102-1 WEEK 5

2. How is least square method applied in regression analysis?

 The least squares method is a widely used approach in regression analysis to
estimate the coefficients of a regression model that best fits the observed data. It
aims to minimize the sum of the squared differences between the actual values of
the dependent variable and the predicted values from the regression model. The
least squares method helps find the best-fitting regression model by minimizing the
sum of squared residuals. By using this method, regression analysis aims to provide
an optimal estimation of the coefficients and to make accurate predictions or
inferences based on the observed data.

3. The following figure shows the Excel output of a least square multiple linear
regression for the scores in a test (variable Y) with Hours (X1, the number of
hours spent reviewing) and Prep_Exam (X2, the number of exams to take) as
independent variables.
3RD QUARTER, SY2022 – 2023 GED 102-1 WEEK 5

a. What is the value of r2? What is the practical meaning of this value?

 r2 is 0.734. The coefficient of determination, denoted "r 2," displays how much
variance in a variable can be explained by two factors.

b. What is the coefficient of Hours? Interpret this value.

 Hours have 5.56 coefficients. This is the median. Students spend 0.00 P-
Value hours reviewing course material. If that value is less than 0.05, the
association is stable and can be applied to many students.

c. What is the coefficient of Prep_Exam? Interpret this value.

 Practice test coefficient is 0.60. The sample test P-Value is 0.052,
according to the table. This number exceeds 0.05, indicating that model
selection is unimportant. If a new sample is used, the initial pick may have
been wrong. This prevents its further use.